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Corporate Governance Framework

Our corporate governance framework sets out the necessary responsibilities and procedures that guarantee we operate properly.

Published
29 October 2021

Last updated
13 June 2024 - Changes

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  1. Contents
  2. Functions and objectives

Functions and objectives

2.6 The Gambling Act 2005 sets out 3 statutory licensing objectives. These objectives explain how the Gambling Commission should regulate gambling. The Commission should regulate with the aim of:

  • preventing gambling from being a source of crime or disorder, being associated with crime or disorder or being used to support crime
  • ensuring that gambling is conducted in a fair and open way
  • protecting children and other vulnerable persons from being harmed or exploited by gambling.

2.7 The Act also explains that the Commission must permit gambling, in so far as it is reasonably consistent with the pursuit of the licensing objectives.

2.8 The Commission’s main functions under the Gambling Act 2005 are to:

  • licence operators and individuals who are involved in the provision of facilities for gambling
  • maintain the regulatory regime and take action against those who do not meet its requirements. This may include working in partnership with licensing authorities in accordance with the principles originally set out in the concordat entered into between the Commission and Local Government Regulation
  • issue codes of practice about the way in which gambling facilities are provided
  • provide guidance to local authorities about how they are to exercise their functions under the Gambling Act 2005
  • give advice to the Secretary of State on the incidence, effects, and regulation of gambling as well as the manner in which gambling is carried on.

2.9 The Commission delivers these functions by:

  • delivering best practice licensing and enforcement, and regulating gambling in the public interest. This includes publishing the Statement of Principles for Licensing and Regulation to explain how the Commission exercises its functions
  • providing authoritative advice on gambling and its regulation. This includes building the Commission’s knowledge through intelligence and research
  • engaging with stakeholders. This helps to make the Commission accountable, properly balanced and informed
  • developing its employees and organisation: delivering professional, responsive, accountable, and fair regulation.

2.10 In relation to the National Lottery, with the Secretary of State, the Commission’s overriding statutory duties are to exercise its functions in a manner it considers will secure that:

  • the National Lottery is run, and every lottery that forms a part of it is promoted, with all due propriety; and
  • the interests of every participant in the lottery are protected.

2.11 Subject to these 2 duties, when exercising their functions under the National Lottery etc. Act 1993 (opens in new tab), the Secretary of State and the Commission shall do their best to secure that the net proceeds of the National Lottery are as great as possible.

2.12 The Commission’s main functions under the National Lottery etc. Act 1993 are:

  • running the competition process to select the operator of the National Lottery and granting the operator’s licence. The licence may include such conditions as the Commission considers appropriate
  • licensing each game that the operator wishes to promote, under such conditions as the Commission considers appropriate
  • reviewing the terms of the licences it issues and granting consents under those licences in response to changing circumstances or proposals from the operator
  • checking that the operator meets the conditions of its licences and taking enforcement action where conditions are not met
  • overseeing the operator’s performance to ensure that returns are maximised, in line with its duty to ensure net proceeds are as great as possible, subject to its propriety and player protection duties
  • checking that the operator, those who manage National Lottery business, and those who financially benefit from the National Lottery are fit and proper.

2.13 The Secretary of State is also subject to the duties described above and these provide the context for their functions of making regulations and issuing Directions to the Commission under section 11 of the National Lottery etc. Act 1993. The Commission must comply with those Directions in the exercise of its National Lottery licensing functions.

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